Axiata Conferred its Second "Emas" Status by Bank Negara Malaysia for Sukuk Issuance of USD500 Million
Kuala Lumpur, 1 April 2016 - Axiata Group Berhad (“Axiata”) was conferred its second “Emas” status by Bank Negara Malaysia for the issuance of its five year USD500 million sukuk. The “Emas”, accorded to foreign currency denominated bonds and sukuk originating from Malaysia in the global capital market, was presented by Governor of Bank Negara Malaysia at the Responsible Finance Summit 2015, hosted by Bank Negara Malaysia.
Dato' Sri Jamaludin Ibrahim, President & Group Chief Executive Officer of Axiata said, "We are honoured by Bank Negara Malaysia’s conferment of our Sukuk Issuance. Axiata has always been a strong proponent of Islamic financing and remains committed in supporting the Government's initiatives and efforts in positioning Malaysia as an international Islamic financial centre.
“Our issuance attracted interests from a diverse group of Islamic as well as conventional investors. We saw a strong cross-border participation from a wide and diverse base of investors, with 58% from Asia, 22% from Europe and a further 20% from the Middle East. We hope to see such excellent demand continue from international investors for Malaysian Islamic Sukuk Issuance in the years to come.”
In November 2015, Axiata successfully priced its Sukuk Issuance at the tightest end of the price guidance of USD500 million, with a final book of over USD1.92 billion orders, representing a bid-to-cover ratio of close to 3.8 times, and a final yield of 3.466%.
Axiata received its first the “Emas” status in 2012 for its inaugural Issuance of its RMB1.0 billion sukuk issuance, the world's largest RMB denominated sukuk issued at that time.
As a leading Asian telecommunications group, Axiata has made three Sukuk Issuance under its multi-currency Sukuk issuance programme with an aggregate nominal value of USD1.5 billion (or its equivalent in other currencies) Sukuk Programme, established on 17 July 2012. In early March 2016, Axiata set a new benchmark and built its curve by successfully pricing its first 10-year issuance. The Issuance received a peak order book of 2.8 times and saw further cross-border participation with 71% from Asia, 11% from Europe and 18% from Middle East.
As one of the largest Asian telecommunication companies, Axiata today operates in nine countries, servicing approximately 275 million subscribers. With a diverse portfolio in mobile network operations, communications infrastructure services and digital services, the Group pieces together the best in connectivity, technology and people in its vision of Advancing Asia. Axiata has controlling interests under the brand name of ‘Celcom’ in Malaysia, ‘XL’ in Indonesia, ‘Dialog’ in Sri Lanka, ‘Robi’ in Bangladesh and ‘Smart’ in Cambodia, with strategic interests in ‘Idea’ in India and ‘M1’ in Singapore. ‘edotco’, the Group’s infrastructure company, operates in five countries to deliver telecommunications infrastructure services, amassing a portfolio of over 16,000 towers and 12,000 km of fibre. It aims to be one of the top regional tower companies and is committed to responsible and sustainable business operations.
In 2012, Axiata established Axiata Digital (AD) to capture the rapid growth in internet-based businesses. Within three years, AD has built a portfolio of 28 digital brands, servicing growing demands in mobile money, mobile adverting, e-commerce, entertainment and education.
As a committed and long-term investor, Axiata provides employment to 25,000 people within its operations. In line with its sustainability goals, the Group actively supports and drives young talent development; disaster response and recovery; as well as green initiatives.